07:24 AM EST, 12/31/2024 (MT Newswires) -- Belo Sun Mining ( BSXGF ) , which operates in Brazil, overnight Monday said Sun Valley Gold will sell 68.3 million Belo shares to La Mancha Investments for $0.10 per share.

The transaction will be completed in two tranches, with 64.3 million shares transferred to the buyer on Dec. 27, and the remainder 3.95 million shares to be transferred by Jan. 15.

La Mancha Investments, now a new cornerstone shareholder and investor, will invest a further $1.2 million in Belo Sun through a private placement financing of 11.7 million shares at $0.10 per share.

Proceeds will be used for general working capital and corporate purposes.

La Mancha will own 17.1% of Belo Sun, and Sun Valley Gold, 8.4% of the company. La Mancha will also have the right to nominate up to two directors to the Belo Sun board.